‘Pitifully low’ voluntary offsetting by FTSE 100
FTSE 100 voluntary carbon off-setting is 'pitifully low' according to a new report released last night.
According to Carbon Retirement’s Offsetting in the FTSE100 carbon cutting is taking place but needs to be improved.
Currently, according to the report, the total quantity of offsets reported in the FTSE 100 is 2.8 million tonnes, which is just 0.1% of the total FTSE 100 carbon emissions for Scopes 1, 2 and 3.
Voluntary offsetting is confined to three sectors financials, consumer discretionary and consumer staples.
And, it’s financials leading the way with offsetting with more than 61% of FTSE 100 companies in the sector offset at least a portion of their emissions.
In all but one year from 2005 to 2010 one FTSE 100 financial company has gone carbon neutral, according to the report.
However, no offsetting is reported in the IT, Healthcare or Telecommunications sectors, but all of which have low-carbon intensity.
The report states: “Lack of voluntary action from these companies, plus sectors with medium/high carbon intensity, means that only 0.1% of FTSE 100 carbon emissions are being voluntarily offset.
“If the FTSE 100 are to make meaningful steps towards reducing their collective environmental impact, then offsetting, as well as ambitious emission reduction strategies, must play a more substantial role.”
© Faversham House Ltd 2023 edie news articles may be copied or forwarded for individual use only. No other reproduction or distribution is permitted without prior written consent.